Hamburgh Company is in the process of closing its books at the end of 2024. The company's preliminary income statement for 2024 and its reported income statement for 2023 are given below. 2024 2023 Sales Revenues 800,000 780,000 Cost of Goods Sold (432,000) (420,000) Gross Profit 368,000 360,000 Depreciation (95,000) (95,000) Other Expenses (118,000) Net Income 155,000 (112,000) 153,000 Hamburgh's records reveal the following information: (1) Hamburgh failed to accrue $12,000 of commissions expense at the end of 2023. The expense was recorded as paid in 2024. (2) On 1/1/22, Hamburgh purchased a machine for $160,000. Although the machine was expected to have a five-year life, it was erroneously expensed in recording the purchase. The appropriate depreciation method for this machine is double-declining-balance with no residual. (3) At the end of 2024, Hamburgh decided to change its inventory costing method from the FIFO costing method to the average cost method. An analysis of the accounting records provides the following cost of goods sold amounts under average cost and FIFO: Year 2022 FIFO 410,000 2023 2024 420,000 432,000 Average 430,000 425,000 450,000 (4) Hamburgh acquired a machine on 1/3/21 for $120,000 and estimated its useful life to be 6 years with a salvage value of $15,000. In 2024, after the preliminary statements were prepared, Hamburgh realized that the machine could be used for an additional 5 years, but that the salvage value at the end of that time would probably be only $10,000. Straight-line depreciation is being used for this asset. Required: A. Prepare the necessary journal entries at December 31, 2024, to record the above information. B. Prepare new comparative income statements to reflect the adjustments required (1) through (4) above. You may ignore income taxes. C. Retained earnings reported for the end of 2023 was $2,315,000 and at the end of 2022 was $2,202,000. Dividends of $60,000 were declared in 2024; they were $40,000 in 2023. Prepare comparative statements of retained earnings for Hamburgh Company for 2024 and 2023, reflecting appropriate adjustments from items (1)-(4) above, ignoring income taxes.